Ford to pay $23.7 mln in Calif. rollover lawsuit
SAN FRANCISCO,
Feb 3 (Reuters) - Ford Motor Co. (NYSE:F - News) has agreed to pay
$23.7 million to a family involved in a 1993 rollover accident in
a decision that ends more than a decade of legal wrangling, a lawyer
for the world's third-largest automaker said on Tuesday.
The decision
stems from a California appeals court ruling in November ordering
Ford to pay $23.7 million to the Romo family after the U.S. Supreme
Court threw out a $290 million judgment in the same case, said Ford's
lawyer Theodore Boutrous Jr.
"We believe
the remaining award is excessive and improper, but Ford decided
to pay the judgment to resolve this 10-year-old case about a vehicle
that was sold more than a quarter-century ago," Boutrous said.
The case involved
the crash of a 1978 Bronco near Ceres, California. Three members
of the Romo family were killed and three others were injured when
the vehicle overturned several times, causing the roof to cave in.
The accident
occurred after the Bronco's driver, Juan Romo, swerved when he was
cut off by another vehicle.
The surviving
plaintiffs sued Ford, claiming the roof had been improperly designed
because it did not have steel reinforcement.
A Stanislaus
County jury originally awarded them $4.6 million in compensatory
damages and $290 million in punitive damages -- a judgment Boutrous
said was the largest personal injury award ever upheld by an appeals
court.
The U.S. Supreme
Court eventually threw the damages out and sent the case back to
the state court after ruling in a different case that punitive damages
must be reasonable and proportionate to the harm suffered.
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